CTR067401_Contract_Amendment__3.pdf

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Master Agreement AZ|CTR067401
Contract number
CTR067401
Issued by
Arizona

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This is a Contract Amendment issued by the Arizona Department of Administration State Procurement Office for a Statewide Furniture, Products, and Related Products contract (Contract Number CTR067401) with Forward Tilt LLC. The amendment extends the contract term for one year, from September 1, 2025, through August 31, 2026, and addresses price increases from multiple manufacturers for the upcoming contract period.

The contract covers furniture and related products from various manufacturers, including HON, 2/90 Sign Systems, Arcadia & Encore, ERG, GRC, OFS, Kimball International, Krug, Loftwall, SAFCO, Spec, Davis, JSI, Magnuson Group, Enwork, 9to5, and HighTower. Price increases range from 2% to 8%, with most manufacturers implementing increases between 3% and 5%. Some specific product lines and series will not see price increases, such as Calvin and Calvin HD, Dignity, EndZone, and certain table and seating models. The amendment maintains the existing supplier discount percentages while allowing for product-specific price adjustments, ensuring continued availability of furniture and related products for Arizona state agencies.

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Contract Amendment Arizona Department of Administration State Procurement Office 100 N. 15th

Avenue Phoenix, AZ 85007

Contract: CTR067401 Contract Amendment: #3

Effective Date: May 29, 2025

Statewide Furniture, Products, and Related Products

Forward Tilt LLC

In accordance with the Uniform Terms and Conditions, Section 5.1 Amendments, it is mutually agreed that the subject Contract is amended as follows:

1. The contract term is hereby extended for one (1) year, effective September 1, 2025, through August 31, 2026.

2. The State of Arizona has approved a price increase. The supplier discount percentages remain unchanged; however, the following manufacturers have indicated a product price increase:

Manufacturer Price Increase %

HON 3%

2/90 Sign Systems 4% for most products manufactured by 2/90.

2.5% SafeCare product line

Arcadia & Encore 2-5% ERG 5% or less

GRC 4%

OFS

5% price increase on OFS and Carolina products. No price increase on ROOM products

Kimball International 0-3% Krug 5% Loftwall 3-8%

SAFCO

Flat File - 7% increase Rumba, Mailroom, Mobile 1000, and Four Post - 4% increase Flip n Go, targeted seating, and storage solutions - 2% increase

Spec

Tables - 2% increase Seating - 3% increase All other - 3% increase The following products will not be increasing:

Calvin and Calvin HD, Dignity and Dignity 2, EndZone, Hardi, Snowball 1, 2, and 3, Tailor lounge, Tables, Flip6, folding, casters, and bar height.

Davis 4%

JSI

3% with the following exceptions:

5% BeSPACE, Cāav, Connect, Finn, Finn Nu, Flux, Indie, Moto, Poet, Prost, Reef, Romy 4% Arwyn

Magnuson Group 4%

Contract Amendment Arizona Department of Administration State Procurement Office 100 N. 15th

Avenue Phoenix, AZ 85007

Contract: CTR067401 Contract Amendment: #3

Effective Date: May 29, 2025

RECITALS

On August 30, 2023, the State awarded the subject Contract to Forward Tilt LLC with an effective date of September 1, 2023, with the an initial one year Contract term with the option to renew in increments of one (1) or more months, provided that the maximum aggregate term of the Contract including extensions, do not exceed the maximum aggregate term of five (5) years.

Thereafter, Amendment One (1), executed on September 1, 2024, extended the contract period for one year, effective through August 31, 2025.

Amendment Two (2), executed on September 1, 2024, adjusted and replaced the pricing list.

ALL OTHER REQUIREMENTS, SPECIFICATIONS, TERMS AND CONDITIONS REMAIN UNCHANGED

This amendment shall be fully executed upon the electronic approval in the State e-Procurement system by an authorized representative of the Contractor and applied to the contract in the State e-Procurement system by the

Procurement Officer or delegate.

Available online at app.az.gov

Enwork 3%

9to5 The State will accept the 5% increase but will not agree to the added 3% Tariff surcharge.

HighTower 6%

HON Company LLC

200 Oak Street

Muscatine, Iowa

52761

July 29, 2024

Arizona Department of Administration

State Procurement Office

Attn: Joshua Knapp, State Procurement Officer

Re: Solicitation No. BPM005423

100 N. 15th Ave, Suite 305

Phoenix, AZ 85007

RE: State of Arizona Contract RFP Solicitation No. BPM005423

To align with our ongoing business investments, rising energy costs, and continued wage pressures, we will be making a modest adjustment to our prices. Effective September 1, 2024, an average 3.0% net price increase will be implemented across the list price for HON products.

HON RCI Statement

HON practices Rapid Continuous Improvement (RCI), a methodology through which we support employee members’ efforts to better every area of our business. Modeled after the acclaimed Toyota production system, the agile approach—in which we scrutinize every facet of our procedures to identify areas of waste, and then refine and streamline processes—allows us to mitigate supply-chain risks, use natural resources more efficiently, and add business value. Being lean has also made us increasingly green over the years, with our efforts reducing the company’s emissions and energy use.

We offer the RCI process to interested HNI dealers and customers, working with them to identify areas of improvement.

Using data and cost information, we select targets, set team goals, and track progress to produce quantifiable results.

To date, we and our customers have used RCI to achieve significant savings in warehouse handling costs, order processing time, and warehouse space and delivery costs. We also have reduced product costs, keypunch errors, accounting inefficiencies, order-processing times, and damage to products.

Other examples of HON RCI successes include:

• Using process capability and technology to improve first-time yield and quality of seating upholstery, reducing scrap and repeat work.

• Creating value-stream designs that minimize transportation needs, leading to more efficient assembly processes.

• Capturing overspray wet and powder paint to re-blend into new paint.

HON’s 2024 Price Lists are available at:

• HON March 2024 Workspaces Pricer

• HON March 2024 Shared Spaces Pricer

Sincerely, Chet Hoehn

Business Development Manager

The HON Company LLC

HoehnC@honcompany.com https://res.cloudinary.com/hni-corporation/image/upload/HON/Marketing%20Resources/hon.com/Files/HON-Workspaces-Pricer.pdf https://res.cloudinary.com/hni-corporation/image/upload/HON/Marketing%20Resources/hon.com/Files/HON-Shared-Spaces-Pricer.pdf

5350 Corporate Grove Boulevard SE • Grand Rapids, MI 49512 • P: 800.777.4310 or 616.656.4310 • F: 616.656.4300 • www.290signs.com

GSA Schedule Contract (GS-07F-0265N)

January 1, 2025

Diana Mallett

Sales Coordinator Manager

Forward Tilt 6340 E Thomas Rd

Scottsdale, AZ 85251

Re: Arizona State Contract

2/90 Sign Systems Price Increase Effective 1.1.2025

Dear Diana

This letter is to advise that 2/90 Sign Systems implemented a 2025 price increase due to increased material and labor costs.

The amount of this increase was 4% for most products manufactured by 2/90. We did not increase pricing for PlusOne workstation nameplates. Our SafeCare product line increased

2.5%.

Please feel free to reach out if you have any questions.

Kathy Antor

Corporate Sales Manager

Cc: Shannon Wilmer

B3W | 290 Regional Sales Representative

5692 FRESCA DRIVE, LA PALMA, CA 90623 | 800.585.5957 | ARCADIACONTRACT.COM | ENCORESEATING.COM

July 24, 2024

Arizona department of Administration

100 N. 15th Ave, Suite 305

Re: Solicitation No. BPM005423 -CTR067395

Our pricing link for contract CTR067395 is below. The pricing is dated 6-1-2024 which is our latest pricing.

The price increase was due to transportation and materials cost and range from 2% -5% .

Arcadia & Encore Master Price Lists

Shannon Curatolo 480-363-8688 shannon@saleswestgroup.net Arcadia & Encore Representative https://www.dropbox.com/scl/fo/9fas0ybonzl3v7tuop9vc/AMgjwzdWKHAxhRl_sfZKnX8?rlkey=1gz5ugyv3xypsxg3hcape31e5&st=f8j70t3y&dl=0 mailto:shannon@saleswestgroup.net

ERG International 361 Bernoulli Circle Oxnard, CA 93030

September 24th, 2024

RE: December 1st, 2024 Price Increase

Dear Valued Partners, We hope this letter finds you well and business strong!

We are writing to inform you of that effective December 1st, 2024, we will be implementing a general price increase across the majority of ERG International commercial furniture product lines, averaging 5% or less.

We understand that any price increase can be challenging to absorb. Please know this decision was not made lightly and we made every effort to minimize the impact of the below rising costs on our customers.

However, in order to maintain the quality of our products, we must adjust our pricing accordingly based on several factors, including:

• Rising Material Costs: The cost of raw materials, such as wood, metal, and upholstery fabrics, has continued to rise significantly over the past year.

• Increased Labor Costs: Wages for our skilled craftsmen have also increased, reflecting the rising cost of living.

• Supply Chain Challenges: Ongoing disruptions in the global supply chain have led to higher transportation costs and longer lead times.

We are confident that the value and durability of our office furniture will continue to exceed your expectations. We appreciate your understanding and continued business – thank you for your partnership and support!

Roy Zaki

President / CEO royz@ERGinternational.com mailto:royz@ERGinternational.com imagine a place®

October 23, 2024

January 2025 price adjustment

Dear Partners, I hope you and your business are doing well. Our commitment to supporting our dealer partners remains unwavering. We aim to be your most reliable partner, helping your dealership grow and succeed. With the breadth of the OFS and Carolina portfolios, now enhanced by high-performing acoustic and modular products from ROOM, we are confident you can meet the evolving needs of your customers.

Our goal is to offer the best price-to-design value in the industry. We continuously monitor global market trends and industry activity to remain competitive. While some costs have leveled, overall operating, logistic, and supply elasticity pressure remains for the necessary scale and speed of production and delivery of made-to-order, durable goods.

Last year, we held or lowered prices with reductions ranging from 0% to -20% on 25+ series and hundreds of models and options. Over the last 36 months, our adjustments have been modest and consistent to plan appropriately and provide value to your customers while protecting the profitability of your business.

On Monday, January 20, 2025, we will implement a 5.0% price increase on the OFS and Carolina product portfolios. Please see the details below:

● OFS and Carolina products 5.0% price increase, effective Monday, January 20, 2025

● No price increase on ROOM products

● Updated catalogs in CET Designer are targeted for mid-November release

● All other eTools programs will be updated in Mid-December

All orders placed prior to Monday, January 20, 2025, must ship by April 25, 2025, to receive the current list pricing. If an order requested delivery date falls beyond this window, Order Entry will apply the price increase unless a Regional Vice President (RVP) has approved the list price hold even if the order is placed prior to January 20, 2025.

GSA, Vizient, Premier, Healthtrust, Omnia, and Sourcewell use "Current Contract published price list.”

These and similar contracts will not have a grace period. Therefore, quotes shall expire on January 19, 2025. As other contracts review this price adjustment, we will communicate progress and new effective dates based on their approvals. However, we may not know if they approve or when it will take effect until later this year. Therefore, we’re asking our partners to make all quotes valid for 30 days, and no later than January 20, 2025, in anticipation of a possible price increase. For contracts with price holds, new discount policies may emerge. We will communicate those as they are finalized.

Thank you for your commitment to OFS, Carolina, and now ROOM. Your partnership means so much to us and we truly appreciate it.

Sincerely, Matt McCormick National Sales Manager ofs.com 1204 East Sixth Street Huntingburg, IN 47542 800.521.5381

July 2, 2024

Greetings, We are providing early notification of an upcoming price adjustment for your awareness. Effective Monday, September 30, 2024 we will be implementing a market price adjustment at an average rate of 2%. The average 2% adjustment across the portfolio is comprised of 0% on some series and 3% on others, within the Kimball, National, Etc., Interwoven, and David Edward brands.

To minimize the impact, many products that have been exempt from price increases over the past two years will continue to see no increase.

This adjustment ensures the integrity and value of our flagship series, many of which have meaningful enhancements launching soon.

New pricing will be updated in our September e-tools release and online price lists by September 9, 2024. Please note that current pricing will be honored for all orders received at Kimball International through Friday, September 27, 2024.

Thank you for your continued support of Kimball International.

Regards, Lisa Schmidt Sr. Director, Trade Marketing Kimball International

FROM THE NEWSDESK

Memorandum

To: Valued Krug Dealers

From: Marketing

Re: 2025 General Price Increase

Date: October 15, 2024

Due to external factors impacting the cost of raw materials and freight, we are announcing a general price increase of 5% on all products, effective January 1st, 2025. This increase enables Krug to continue to deliver the highest quality products and services that our loyal clients have come to demand and expect from our brand.

We are communicating notice of the price increase well before the effective date because, as much as we understand there are often extenuating circumstances impacting delivery of POs, this year, we are unable to hold 2024 pricing, for any reason, beyond December 31. Orders received on or after that date will need to include the price increase. Existing quotes for orders that will be placed after December 31st should be requoted with 2025 pricing. Any quotes requested from engineering and bids with 2024 pricing will include a comment about the price increase.

The 2025 price guides will be posted to our website November 18th and the current 2024 price guides will remain on the website until the end of December.

In addition, we are updating 20/20 and 2025 pricing will be released mid-November.

We will send additional information as soon as it's available about the approval and acceptance of the new pricing for our state, GPO, GSA, VA and IDIQ contracts.

Please reach out to your local Krug rep if you have any questions.

Thank you for your understanding, support and valued partnership.

Krug... Advancing Design Through Innovation

4705 Vicksburg Street Dallas, TX. 75207 (T)214.239.3162

October 23, 2024

RFP #23-16PV Furniture & Products

RE:2025 Price increases

Dear Mr. Knapp, We understand that any price increase can be challenging to absorb. Please know this decision was not made lightly and we made every effort to minimize the impact of the below rising costs on our customers.

However, to maintain the quality of our products, we must adjust our pricing accordingly based on several factors, including:

• Rising Material Costs: The cost of raw materials, such as wood, metal, and upholstery fabrics, has continued to rise significantly over the past year.

• Increased Labor Costs: Wages for our skilled craftsmen have also increased, reflecting the rising cost of living.

• Supply Chain Challenges: Ongoing disruptions in the global supply chain have led to higher transportation costs and longer lead times.

We are expecting an increase of 3-8% on 1-1-25.

Thank you for your understanding.

Heather Waclaw

Rodenbeck, manufacturer representative heather@rodenbeck.com

602-402-8402

Date: August 29, 2024

Subject: U.S. Price Adjustment Notification

Dear Valued Customer, The U.S. economy continues to be unpredictable through an extended period of economic uncertainty. Prices for consumer products and commodities remain volatile.

Since our last price adjustment, the SAFCO team has worked hard to proactively explore every avenue to ensure our products are competitively priced and available for delivery.

Moreover, last year we took steps enabling us to lower prices by an average of 15% on our popular Swift offering. However, given current rising costs of doing business, it is necessary to adjust pricing on a small subset of our products.

Effective September 30, 2024, orders received on the following products will experience a list price adjustment:

• Flat File list pricing will increase 7%;

• Rumba, Mailroom, Mobile 1000, and Four Post list pricing will increase 4%;

• Flip n Go, targeted seating and storage solutions list pricing will increase 2%;

Please see the detailed list of products on the Safco Dealer Portal.

Thank you for your continued support of SAFCO and our comprehensive offering products that empower people to do their best work.

Stuart Johnson

Director of Sales & Customer Care

Cc: Shawn Green, VP of Product

Jennifer Reynolds, Customer Care Manager

Travis Holland, East DSM

Christina Libby, Central DSM

Steve Fitzgerald, West DSM

[Toll Free] 1-888-761-7732 [T] 416-246-5550 [F] 416-246-5549 [E] specit@specfurniture.com [W] www.specfurniture.com

Spec Furniture Inc. ● 165 City View Dr. Toronto, ON M9W 5B1

July 24, 2024

Arizona department of Administration

100 N. 15th Ave, Suite 305

Re: Pricing Solicitation No. BPM005423 – CRT067395

This letter is confirm our pricing as of January 1st, 2024 is the pricing that is current for the State of AZ contract beginning September 1st, 2024.

Our price increase implemented in January of this year is due to transportation and material cost increases.

Tables increased 2 % Seating increased 3 % All other categories increase 3%

We strive to maintain fair pricing and all products below were not subject to our price increase.

Calvin and Calvin HD Dignity and Dignity 2 EndZone Hardi Snowball 1,2 and 3 Tailor lounge Tables, Flip6, folding, casters and bar height

Spec furniture Price List | Spec Furniture mailto:specit@specfurniture.com http://www.specfurniture.com/ https://specfurniture.com/price-list

[Toll Free] 1-888-761-7732 [T] 416-246-5550 [F] 416-246-5549 [E] specit@specfurniture.com [W] www.specfurniture.com

Spec Furniture Inc. ● 165 City View Dr. Toronto, ON M9W 5B1

Jasmin Collitz, Contract Specialist

Spec Furniture Inc.

mailto:specit@specfurniture.com http://www.specfurniture.com/

January 14th, 2025

RE: State of Arizona - Price Increase Notifications #CTR067395

To Whom It May Concern:

Hightower will be implementing a price adjustment in March 2025, our first since April 2023.

While full details are still to be determined and shared, we expect increases to not exceed 6%.

Additionally, Hightower will be reducing our freight charge percentages per shipping zone.

While Hightower primarily manufactures our furniture in High Point, NC we do import some components from our partners in Denmark, Spain, and Sweden. Over the last two years, we have absorbed all cost pressures incurred from domestic and international suppliers and find it necessary to adjust accordingly.

Our Production and Operations leadership hold Lean Manufacturing Certification and Six Sigma experience which they apply to mitigate cost through:

● Using smaller batches for faster throughput

● Organizing workstations for efficient flow

● Using data/metrics to understand and resolve problems

● Continuously evaluating, refining, and documenting process

● Implementing standardized work instructions and eliminating variation

● Involving employees across teams to identify waste and improve production

Thank you, Adam Merkl Director of Sales adam.merkl@hightoweraccess.com

2401 South College Drive

P.O. Box 2065

High Point, NC 27261-2065

P | 336.889.2009

F | 336.889.0031 www.davisfurniture.com

February 26th, 2025

RE: Contract Price Increase

Dear Arizona Department of Administration Procurement, Davis Furniture Industries, Inc. implemented a 4% price increase on orders received on or after 1/1/2025. At this time, we do not intend to submit a price increase for the upcoming period of March 1, 2025 – September 1, 2025.

This decision was made due to rising supplier costs and general operating expenses, which have continued to increase over the past year. While we've worked hard to absorb as much of these cost pressures as possible, this adjustment is necessary to maintain the quality of our products and continue providing the level of service our customers expect.

If you have any questions or need further information regarding our decision to implement this increase, please do not hesitate to reach out. Thank you for your partnership and continued support of DAVIS!

Liam C. Kirkbride Regional Sales Manager Davis Furniture Industries, Inc.

2401 College Dr.

High Point, NC 27260

(336) 848-0017

May 9, 2024

As we navigate the ongoing challenges posed by inflationary strains, labor dynamics, and supply chain disruptions, we find it necessary to address these impacts directly. Effective July 1, 2024, we will be implementing a 3% price increase (exceptions below). Thank you for your understanding and continued partnership as we strive to navigate these economic realities together.

15% Walden 10% Addison, Ansen, Class Act, Encore, Finale, Hoopz, Lincoln, Protocol, Trinity, Wellington, Ziva 5% BeSPACE, Cāav, Connect, Finn, Finn Nu, Flux, Indie, Moto, Poet, Prost, Reef, Romy 4% Arwyn

All JSI height-adjustable table and desk SKUs are exempt from price increase.

Orders + Quotes This price increase is effective for orders placed on and after July 1, 2024. All orders placed by June 30, 2024, must ship by November 7, 2024 in order to receive current pricing. Orders received on or after July 1, 2024 or with a ship date beyond November 7, 2024 will receive new pricing. If an order has a requested delivery date falling beyond this window, our Order Services team will apply this price increase unless approved by a Regional Sales Manager, even if the order is placed prior to July 1, 2024. Projects we are currently quoting are valid until June 30, 2024. If we are notified the order will be placed after July 1, 2024, we will quote new pricing. Those quotes are valid for 60 days.

Contracts GSA, State and Cooperative Contracts will be reviewed, and requests for increases submitted in accordance with the terms of each contract. Communication will be made as the requests are approved and new pricing effective dates are known.

Specification + eTools CET Spec and JSI website price lists and updated typicals will go live on July 1, 2024. New pricing will be posted on 2020 Technologies website for their mid-month updates in July.

We apologize for the inconvenience this may cause and want to assure you that we continue to do all we can to offset cost increases. Thank you for your understanding as we continue to focus on bringing you amazing furniture solutions that inspire people to #lovewhatyoudo.

Discontinued Series The series listed below will be discontinued with the July 1, 2024 price increase. Please contact your JSI sales or customer service representative with any concerns or questions about replacement options.

Apogee Collective Motion* Melrose Tara Avalon Esque Murphy Tyler Cabaret Laurel Strata

*All models to be discontinued except for mobile pods

(CM4517 &

CM4519)

Selena Leon

MAGNUSON GROUP • 1400 INTERNATIONALE PARKWAY • WOODRIDGE, IL 60517-4942

Tel 800.342.5725 Fax 888.329.4729 www.magnusongroup.com

February 27, 2025

Dear Magnuson Group customer:

Magnuson Group will have its annual price increase effective 4/1/25, averaging 4% across all products.

If you have questions, please email your Customer Support & Relationship Specialist directly or custserv@magnusongroup.com.

We will be posting the April 1, 2025, Price List on our website in Printed Literature on our Resources Tab:

https://www.magnusongroup.com/ebinder.html

Thank you for your understanding, and for your support of Magnuson Group products.

MAGNUSON GROUP, INC.

Cynthia Flores Manager, Customer Support & Relationship Team mailto:custserv@magnusongroup.com https://www.magnusongroup.com/ebinder.html

PHONE

888.925.SEAT

FAX

866.925.SEAT

ADDRESS

3211 Jack Northrop Ave. Hawthorne, CA 90250 9to5seating.com

February 27, 2025

RE: AZ State Contract Price Increase Justification

To whom it may concern, While we have been able to keep our yearly price increases to a minimum, Effective January this year our 2025 price list went into effect. This price increase of no more than 5% is primarily due to rising material costs which as you might be aware have increased due to market conditions. corrugate suppliers notified us at the end of 2024 to expect a minimum of 6% increase across all corrugated products. This price increase took effect on October 1st. 2024. In addition, logistics and transportation have also played a significant role in our price increase projections for this year. Utilities and overhead have also been added to this year’s list of larger items to consider in terms of increased production costs. We have all been affected by the rise in inflation of recent months, and 9to5 Seating is no exception. Finally, in anticipation of the upcoming tariff changes we have put in place a 3% tariff on all orders, effective February 2025.

Thank you for the privilege of continuing to be a trusted supplier. Please feel free to reach out to me with any questions.

Sincerely, Ignacio Rosales GSA Specialist 9to5 Seating LLC ignacio.rosales@9to5seating.com

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